High prices of food and supplies put Cali restaurants at risk

Cali’s gastronomic sector asked for help from the national government to avoid a crisis of restaurants in the city.

Brani Prado, director of Acodres Pacífico y Amazonía, explained that the rain, the closure of the Pan-American Highway for more than two months, an increase in gasoline and agricultural inputs have significantly increased the prices of menus at restaurants. , especially for ‘executive’ luncheons.

Read here: Commerce in Colombia had a decline in sales in February

“With significant customer inflows, falling sales and businesses having to stop hiring, this is why we believe the national government should look for options to help the sector that can help resolve this temporary crisis and allows finding a balance point that benefits the business. and the consumer”, said the executive, who asks, for example, that a graded discount be implemented for non-consumption and that both restaurants and franchisees do so. But VAT, so that it is deductible from the single rate. Entire industry.

Cali has been the city with the second highest increase in food prices this year and the most expensive family basket. It is estimated that between 67% and 70% have increased the value of inputs coming from Nariño due to problems on the road in Rosas, Cauca.

For the director of Ecodress, even if analysts explain that inflation will peak, prices will not fall from one day to the next, and in the meantime, establishments will continue to be affected by a decrease in sales.

Read more: Milk prices rise by more than $2,000 in Colombia as winter hits

An executive lunch today costs an average of $17,000, compared to $12,000 or $14,000 a year ago.
According to the data of the union, the city’s gastronomic sector will grow by 11.7% in 2022, which is the best data after the pandemic and the national strike. “And we thought 2023 was going to be a positive year, but the effects are piling up.”

According to Chamber of Commerce statistics, there are currently 7,800 formal gastronomic establishments in the city. In the pandemic, 63% of the offer was lost and an estimated 3,283 closed.

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